Next Generation Energy Corp. Enters Into Agreement to Participate in Joint Venture Including Working Interest in Oil and Natural Gas Well Re-completion Project in Central Texas

LORTON, Va., Aug. 24, 2011 /PRNewswire/ -- Next Generation Energy Corp. (OTC:NGMC) announced today that the Company has entered into an Agreement with Pegasus Energy Development, LLC to participate in a Joint Venture that includes a Working Interest in an Oil and Natural gas well re-completion project in Central Texas by introduction by Petro Lucre, LLC.

The re-completion project includes an existing 7900 foot well whose original pay zone was depleted and abandoned.  Recently, these well drilling logs were reviewed by Baker Hughes, petroleum geologists and engineers, and it was determined that up to four additional pay zones exist in the well bore above the previous find at approximately the 4,500 and between the 3,000 and 1,200 foot levels.

The Company's Venture Partner has obtained the leases and is planning to begin the work upon full funding.  It is estimated that the production from this new pay zone may be between 900 and 1800 barrels of oil per month and TBD quantities of Gas, up to 3+/- Million Cubic Feet of Natural Gas per month (3000 mcfgpm).  Once this production starts revenues from this well are expected to reach between $1.5 million and $2 million annually (initial production) at current prices.

"We are very excited about this new find because it is relatively low risk because of all the engineering and geology data that is known about the existing well. Applying the latest technology to analyze the well drilling records to project its petroleum recovery through the re-completion allows us to make reasonable and conservative forecasts," said Darryl Reed, Next Generation Energy Corp. CEO.

Mr. Reed stated that "because the well bore currently exists the work could be completed quickly and the connecting pipeline infrastructure is currently in place allowing for a quick time to market." He further stated that "product could begin to flow within 60 to 90 days of completing the work."

"This is another significant acquisition for us and further enhances our aggressive growth strategy adding petroleum energy properties to our existing portfolio," said Mr. Reed.

Pegasus is a Texas-based energy company. Their objective is to locate, acquire, and develop Texas proven undeveloped/ under-developed oil and gas fields that provide low risk to its investors with high rates of return. Pegasus, with its resources and associates, has a collective industry experience of over 150 years.

Petro Lucre LLC is a US-based oil industry consulting firm that works with private and public oil & gas companies to meet their financing, merger, acquisition and development goals.

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995: This press release contains or may contain forward-looking statements such as statements regarding the Company's growth and profitability, growth strategy, liquidity and access to public markets, and trends in the industry in which the Company operates. The forward-looking statements contained in this press release are also subject to other risks and uncertainties, including those more fully described in the Company's filings with the Securities and Exchange Commission. The Company assumes no obligation to update these forward-looking statements to reflect actual results, changes in risks, uncertainties or assumptions underlying or affecting such statements, or for prospective events that may have a retroactive effect.

Darryl Reed
CEO
703-372-1282
[email protected]

Paul Knopick
E & E Communications
949.707.5365
[email protected]

SOURCE Next Generation Energy Corp.